KZN businessman in distress as Standard Bank demands monthly R55,000 for new Range Rover damaged during repairs at dealership



A Durban businessman finds himself entangled in a financial quagmire following the purchase of a used Range Rover Vogue SDV8 Fifty Anniversary Edition.

The man who wants to remain anonymous for his safety, claims the vehicle, bought in August 2022 from Land Rover Menlyn in Pretoria, exhibited latent defects that manifested after he took delivery of the vehicle which he described as a dream car meant for his family.

Upon driving the Range Rover for the first time, he noticed a low coolant level warning light. Concerned, he contacted the salesperson at Land Rover, who advised him to take the vehicle to Land Rover Umhlanga for repairs.

This initial visit marked the beginning of a frustrating series of attempts to resolve the vehicle’s problems.

“I received the car on Saturday, and I took it in on Monday to uMhlanga Land Rover, but the car was not repaired adequately, and the issue persisted,” he explained.

Multiple visits to the dealership yielded little progress, and during the last repair attempt, Land Rover technicians reportedly blew the engine. Left with a non-functional vehicle and dwindling patience, he decided to cancel the deal, fearing he would never have a reliable car again.

However, the situation escalated dramatically when both Land Rover and Standard Bank, which financed the purchase, declined to assist him.

“I was told by Standard Bank that they couldn’t cancel the deal even after I reported the critical issues,” he said, expressing disbelief at their inaction.

“I drove the car for less than five months and even during those months, it was always booked in for repairs. I never enjoyed the car from the day it was delivered.”

Despite the bank’s knowledge of the vehicle’s mechanical problems, he said they insisted upon R55,000 monthly payments, leaving him increasingly frustrated and in financial turmoil.

To make matter worse, he claims after numerous times of being ignored, Land Rover eventually sent him an email from the UK stating that they do not have an engine, and they don’t know if they will ever have an engine for the model he bought.

“The car was a limited edition; it was for the 50-anniversary edition and some of the parts were not available. Now I’m left with no car, but Standard Bank insists that I meet my monthly R55,000 payments despite them knowing that the car was ruined by the dealership,” he said.

Frustrated, the man sought help from the Motor Industry Ombudsman of South Africa (MIOSA) but found himself disappointed when a ruling favoured Land Rover. He felt further victimised by the outcome and escalated his complaint to the National Consumer Commission (NCC), only to discover that his business, generating over R2 million annually, fell outside their jurisdiction.

However, the NCC found that the Ombudsman was wrong and tried to assist the man resolve the issue with Land Rover without any success. After a long back and forth with Land Rover, the man said that instead of assisting him, they told him he should be dealing with Land Rover Durban, where his car was damaged; the dealership is part of the McCarthy Group.

“They are now telling me that the dealership is not part of Combined Motor Holdings (CMH). If that’s the case, why was I advised to take the car to Land Rover Durban if the dealership is not part of CMH?” he asked.

The man stopped making payments in March 2024, leading to a rift with Standard Bank. The bank subsequently cancelled all his business dealings, jeopardising his financial status as he was forced to prematurely pay off some of the business cars financed by the bank.

He said the bank has also threatened to attach his commercial property due to the missed payments. His credit score suffered significantly, restricting his ability to secure loans or mortgages.

He accused the bank of taking sides and refused to assist him even though they knew that the car had latent issues.

“During one of the meetings, one of the Standard Bank representatives told me that Land Rover is also their client and they have to be considerate. But what about me? I’m also their client; I’ve been banking with them for over 20 years. Again, the bank had the power to cancel the deal the minute I reported the issue, but they chose not to, so they basically sidelined me and supported Land Rover.”

“Again, they technically own the car, because they financed it, so they could have easily stepped in and eased the situation before it escalated,” he said.

“This situation has impacted my marriage and family life. I bought this car to ensure a safe and comfortable environment for my twins, and now it has brought nothing but grief,” he said sounding despondent.

With no solution, the man’s health began to suffer, exacerbating his existing Crohn’s Disease, which is triggered by stress. He has since taken the matter to the high court, hoping for a resolution that has thus far evaded him.

In response to IOL’s questions, Standard Bank acknowledged the businessman’s concerns but maintained it could not be held accountable for issues beyond its financing role.

“Our understanding is that Mr M had engaged the dealership as well as the regulatory authorities, MIOSA and National Consumer Commission which deal with consumer complaints under the Consumer Protection Act and the matter is being adjudicated by such independent bodies.

“Pending the outcome of the findings of the applicable regulatory authority, the customer remains responsible for the repayment of the loan which was advanced to the customer for the purchase of the vehicle,” said the bank.

In addition, the bank said it takes allegations of misconduct seriously and if the man believes that any of his other financial arrangements were unfairly impacted, he was invited to lodge a formal complaint with the bank or the bank ombudsman.

Meanwhile, head of business in Land Rover Menlyn, Eric Voster, told IOL that he was advised not to comment as the matter was still before court.

He said that any public statements could compromise their legal position.

 



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